Effect of Arkia long haul on El Al
Aug 24, 2016, 9:44 am
#1
Original Poster
Join Date: Jun 2016
Programs: AAdvantage
Posts: 88
Effect of Arkia long haul on El Al
So basically, now that Arkia has 8 long haul aircraft on order (4 A330-8neo and 4 787-8), do you think they pose a threat to El Al? They said (can't remember source) a few years ago that the first destinations would be NYC and BKK.
A
A
Aug 24, 2016, 9:48 am
#2
FlyerTalk Evangelist
Join Date: Dec 2009
Location: HaMerkaz/Exit 145
Programs: UA, LY, BA, AA
Posts: 13,167
No threat at all. LY follows none of the standard rules of business and still manages to do just fine. As bad as they are, they do have a more established set-up than Arkia does. 8 long-haul aircraft doesn't give them a network, partnerships (LY has with B6, previously with AA), it doesn't give them a decent frequent flyer program (as bad as Matmid is, LY has ways of attaining actual status and they treat you well), etc.
Aug 26, 2016, 5:53 am
#4
Join Date: May 2015
Posts: 132
I think that if they use the planes for them selves it will probably be as a low cost airline, doing what WOW and SCOOT does, this will increase the amount of travellers to long haul destinations because the prices will be good with direct prices...
Not big effect on LY...
Not big effect on LY...
Aug 27, 2016, 2:33 pm
#5
Join Date: Feb 2016
Posts: 71
Firstly, Arkia and Israir both charter large chunks of El Al's fleet on Saturdays when El Al cannot fly. With expanded fleets including long haul aircraft, El Al's planes will sit around more.
Secondly, El Al is notoriously inefficient with high cost bases and large-scale labour disputes. If Arkia gets it right with the new aircraft (they have 4 A320's and 4 more Embrear 195's on order in addition to the existing 4 195's and ATR's), they'll end up with a fleet of around 20 pretty new aircraft across all sizes and suitable for all route lengths, and although half the size of El Al, an efficient setup flying 7 days a week and maximising the turnarounds, could see them operate 70% as many lines as El Al.
I'm not sure if they would threaten El Al, this is a rapidly growing market, and Israeli airlines are fighting more against the European lcc's than each other, but they stand to gain a lot of ground in the market, and perhaps threaten El Al on the low-cost routes and routes where the aircraft used are not competitve.
Secondly, El Al is notoriously inefficient with high cost bases and large-scale labour disputes. If Arkia gets it right with the new aircraft (they have 4 A320's and 4 more Embrear 195's on order in addition to the existing 4 195's and ATR's), they'll end up with a fleet of around 20 pretty new aircraft across all sizes and suitable for all route lengths, and although half the size of El Al, an efficient setup flying 7 days a week and maximising the turnarounds, could see them operate 70% as many lines as El Al.
I'm not sure if they would threaten El Al, this is a rapidly growing market, and Israeli airlines are fighting more against the European lcc's than each other, but they stand to gain a lot of ground in the market, and perhaps threaten El Al on the low-cost routes and routes where the aircraft used are not competitve.
Sep 1, 2016, 12:37 am
#6
Join Date: Apr 2009
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